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This questions are from Contemporary Auditing 12e Case 3.8
The COSO internal control framework identifies five internal control components. Which of those components is most relevant to the procedure that SOX mandates public companies establish to enable, if not encourage, whistleblowing by corporate employees?
Explain the difference    between a

Expert Answer

This questions are from Contemporary Auditing 12e Case 3.8 The COSO internal control framework identifies five internal control components. Which of those components is most relevant to the procedure that SOX mandates public companies establish to enable, if not encourage, whistleblowing by corporate employees? Explain the difference between a "significant deficiency" and "material weakness" in internal control. Provide an example of each. Assume that the PwC contract auditors did, in fact, exert "managerial authority" over Boeing employees. What internal control problems or issues would that have posed for Boeing? Would it have been unethical or otherwise inappropriate for Neumann and Tides to have directly communicated their concerns regarding Boeing's IT controls to the company's Deloitte auditors? Explain. Assuming that Neumann and Tides had done just that, how should the Deloitte auditors have responded? Was it ethical for Boeing to monitor the computers and email of Neumann and Tides during the investigation to determine whether one or more employees were communicating with members of the news media? Defend your answer.

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